General Discussion

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  • #7312
    odysee
    Registered Boarder

    No purpose is served in proposing a dividend of 5 paise per share or a token 2.5%. It would have been appropriate to have not announced a consideration of dividend on the 25th of June, as none was expected.
    The company could have announced and paid an interim dividend later when cash flow permitted.

    #7313
    sandyc316
    Registered Boarder

    @pranil Assuming that the entire investment is outside India, may I suggest that you convert them in USD for an apple to apple comparison?


    @odysee
    Completely agree with you. I would wait to hear the management’s point of view

    2+
    #7315
    Myshport
    Registered Boarder

    The audited financial results show the following.

    1) 1. The company has defaulted in repayment of dues to Axis Bank and the account is NPA.
    2. With respect to Income Tax, TDS the company is not regular in depositing with
    appropriate authorities.
    3 The subsidiary company M/s. Ybrant Media Acquisition Inc has acquired M/s.
    Lycos Inc., M/s. Ybrant Media Acquisition Inc has dispute in respect of consideration of USD 16 Million for acquisition of M/s. Lycos Inc., to Daum Global Holdings Corporation and the district court of New York has given judgment to handover back 56 % equity in M/s. Lycos Inc to M/s. Daum Global Holdings Corpéfe ae
    and the concern matter is pending as on date.

    I thought these points were being taken care of by the management and I was looking forward to some positive comments on these issues.

    In my opinion, till these issues are resolved, the market is not likely to take notice of this company. I may be wrong.

    5+
    #7316
    nitin_asce
    Registered Boarder

    I think this update by auditor is based on situation at 31st March 2020. We might get additional information in concall.

    7+
    #7317
    sateanna
    Registered Boarder

    Dont thinks things have changed much since March 31st, else we would have had updates on Axis loan & Daum case. May be they wanted get the results out of the way before declaring the same. However delay in payment of statutory dues not expected from Brightcom. Could be a serious cash flow problem.

    2+
    #7318
    buffet
    Registered Boarder

    Another update on BSE.

    https://www.bseindia.com/xml-data/corpfiling/AttachLive/9d13f581-5257-48f9-9c3b-4455d32644f3.pdf

    BUSINESS AND CORPORATE UPDATE
    – Effectively managed the transition to “Work From Home” (WFH) for employees
    working across India, Israel, Serbia and Argentina very effectively. Employees at
    other locations were already mobile to begin with and did not need much
    transition planning.
    – Successful issue of preferential shares.
    – Global Audit of 12 subsidiaries by NY based Global Auditor is ongoing. That audit
    is geared towards helping improve the working capital needs of the company.
    – Certain legacy items on the balance sheet, across all subsidiaries have been
    impaired, in view of projecting a healthier overall balance sheet going forward.
    We will send out a detailed note to clarify further.
    – Discussion on the LYCOS settlement was delayed due to COVID19 pandemic
    and inability to travel.
    – Closed out Canara Bank loan in last financial year. Next in line is the loan with
    Axis Bank.
    – DigiDay at Dubrovnik, Croatia and Mobile World conference in Spain were both
    cancelled due to COVID19. However, the teams were able to conduct scheduled
    meetings virtually.
    TECHNOLOGY UPDATE
    – Best 72 SSP list of eDigital for the year 2020.
    – Publishers online are seeing huge spikes in trafc.
    – Proud to share our new B-Local exchange! We’re ofering advertisers an
    alternative to the “faceless masses” of a broad programmatic approach, by reincorporating brands into a community. This has been a very efective tool to
    improve business. Philadelphia Magazine, boston.com, The Seattle Times, Boston
    Globe, The Salt Lake Tribune are some of the media houses already signed on.
    CONFERENCECALL DETAILS:
    Brightcom will host a conference call on 1st July, 2020, at 4.00 pm Indian Standard
    Time to discuss the financial results. Call-in details will be available from the
    Investor Relations page of the company’s website

    #7319
    buffet
    Registered Boarder

    This one seems interesting initiative – Proud to share our new B-Local exchange! We’re offering advertisers an alternative to the “faceless masses” of a broad programmatic approach, by reincorporating brands into a community. This has been a very effective tool to improve business. Philadelphia Magazine, boston.com, The Seattle Times, Boston Globe, The Salt Lake Tribune are some of the media houses already signed on.

    Publishers online are seeing huge spikes in traffic. This could have a huge impact on June-20 quarter results.

    Let’s see the positive side.

    #7320
    m4max1979
    Registered Boarder

    Can somebody throw some light on the write off of current assets of Rs. 868.3 crs in subsidiaries? Is it related to lycos or something else we were not aware of?

    3+
    #7321
    buffet
    Registered Boarder

    @max the recent update says

    “Certain legacy items on the balance sheet, across all subsidiaries, have been
    impaired, in view of projecting a healthier overall balance sheet going forward.
    We will send out a detailed note to clarify further.”

    Hence it’s not just lycos; spread across subsidiaries. We will get more updates in conf call on Monday.

    1+
    #7322
    odysee
    Registered Boarder

    The conference call is on Wednesday 1st July at 4pm IST.

    2+
    #7323
    pranil
    Registered Boarder

    This is second big write off after one big write ofF of 250 cr in receivables in 2012.
    Let’s see what are details.

    Secondly I was never comfortable our company not paying off loans but the reason was given there are issues and litigation. But then can we justify delaying tax payments time and again?? It’s not sign on good ethical company. We must request SKR to Pay off statutory payment on time. Why there is so much desperation to invest money in business that it takes priority over statutory payments.

    5+
    #7324
    pranil
    Registered Boarder

    There is good chance that this write off is forced by BDO; if it is so it only signifies the importance of audit by reputed auditor.

    Till last call SKR assure us quality of receivables and assets. So I don’t understand this big magnitude of write off. Imagine it’s take of rs 15/share which is 50% higher than its current price.

    #7325
    sateanna
    Registered Boarder

    The worst form of non compliance is not remitting the statutory dues on time. Hope from now on all dues are paid on time. The concall will let us know on when other issues will be closed.

    #7326
    Logan
    Registered Boarder

    @pranil, you are right about the importance of having a reputed auditors, do you know how much BDO would charge if BCG appoints them to audit the India business too?

    Coming to write offs, in the balance sheet there are no significant changes and in fact the receivables have gone up, so I think they haven’t written off receivables.

    There’s so much confusion about the write off. 800+ crores is not a small amount, they should’ve given details about it.

    #7327
    pranil
    Registered Boarder

    Yes Saul. We need the updates to understand more.

    Whatever is the case, 800 cr is not small amount and there was no mention of any stress anywhere. In fact when people used to raise concern about numbers be it assets, receivable or investments SKR always assured them of nothing wrong. So it is not easy to digest this write off, as a long term investor I really feeling bad about the transparency.

    I hope the updates restore faith.

    #7328
    Logan
    Registered Boarder

    Like the last conference call, this time too they should conduct it for 2 hours, we have so many questions and 45 minutes won’t be sufficient.

    #7329
    pranil
    Registered Boarder

    Thanks will be great Saul.

    Even otherwise we should align on key questions to be asked let’s ensure no repetition to use time most effectively.
    I am going to ask question on write off, growth and return on investment.

    Suggest you and other members to also decide questions to ask.

    #7330
    admin
    Keymaster
    Topic Author

    “Certain legacy items on the balance sheet, across all subsidiaries have been
    impaired, in view of projecting a healthier overall balance sheet going forward.
    We will send out a detailed note to clarify further.”

    Hope the update comes before the conference call. Those who agree 45 mins will be insufficient to discuss everything, please send mail to the company requesting to extend the conference duration.

    #7331
    VALUEBUYER001
    Registered Boarder

    We need 90 minutes or 2 hours concall this time also

    #7333
    dgm
    Registered Boarder

    I very hesitantly submit some observations as below and no arguments please –
    1. Menasa Research Report gives adjusted book value of around Rs. 30, and mentioned some discount on account of subsidiaries and due to covid-19 some discount on account receivables.
    2. Recommendation was Strong Buy for a target of Rs. 12, which was to be revised after results. Let us wait for it.
    3. More than 2% shares have been bought on 3 trading days and even on Friday 0.5% shares were bought.
    4. BDO involvement is very strong positive factor even if some necessary cleaning has resulted. At least value becomes more clear.
    5. Future seems to be better, at least better than the times when no equity analyst was covering the company and there was not a top 5th auditor involved.
    Companies go through such things. Mergers and Acquisitions are very complex things and many times companies face issues.
    If the business (is stable if not growing) and the company survives, you don’t loose in the long run.
    Let us hope for the best.
    I would also like to add that to my view neither company is interested in taking back Lycos nor it is worth. Again this is my understanding.
    I may be wrong in any of my observation. Take it as you may correlate. And make your own understanding.
    I also do not feel long conference call may serve any purpose, as companies do not disclose very clearly to retail shareholders, which they disclose to equity analysts and auditors.
    And why to bother CEO so much when he is having lot else to do to run the business. He is running the business not us. Let us not suggest and argue too much.

Viewing 20 posts - 1,241 through 1,260 (of 4,814 total)
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